Cerved reported Q3 2014 revenues of Euro 235.6 million, up +5.5% compared to 223.3 million in the first nine months of 2013; +4.7% in terms of organic growth.

Cerved 2014 Revenues 9 MonthsThe results show growth across all business areas (Credit Information, Credit Management and Marketing Solutions). We wish to highlight the strong growth in the Credit Management division which benefited from the intake of credit portfolios during the course of 2013 and from the Marketing Solutions division which has successfully improved and widened its product offering.

With respect to the Credit Information division, the Corporate segment has continued to generate positive results and yielded growth of 4.3% compared to 2013. On the other hand, the Financial Institutions segment was negatively impacted by the renegotiation of three large contracts in the first half of 2013 and by the slowdown of new lending by banks.

EBITDA: Euro 112.4 million, +5.4% compared to 106.7 million in the first nine months of 2013, leading to an EBITDA margin of 47.7%; +4.8% in terms of organic growth; Net Profit: Euro 5.0 million compared to a loss of 3.9 million in the first nine months of 2013. Adjusted Net Profit* of Euro 38.4 million compared to 25.8 million in 2013.

Cash Generation: Operating Cash Flow of Euro 84.0 million, increasing from 80.3 million in 2013, and growing at a rate of +4.6%.  Net Financial Debt: Euro 488.9 million as of September 30, 2014, equivalent to 3.1x last twelve month EBITDA, compared to Euro 512.1 million as of June 30, 2014.

Gianandrea De Bernardis, Chief Executive Officer of the Group, commented:  “The results for the first nine months of 2014 confirm the solidity of Cerved’s business model, which continues to grow despite the difficult macroeconomic situation in Italy.  Growth has been supported by all of Cerved’s three business areas: Credit Information, Credit Management and Marketing Solutions.”

“Since the beginning of the year we have closed three M&A deals: SpazioDati, Recus and RLValue. All three transactions are in line with Cerved’s stated growth strategy via M&A and with the objective of complementing our organic growth, strengthening our market position and acquiring new technological competencies. We strongly believe in M&A and we continue to seek new targets in Italy.”

“We believe that the foreseeable results for the year will allow us to submit to the shareholders’ meeting in next April a dividend payment of approx. Euro 40 million to our 195 million outstanding shares, in line with the board’s programmatic resolution to maximize the distribution of available cash, to the extent permitted by our financial condition and future investment opportunities. The dividend will be paid out through the partial utilization of available capital reserves.”

Source:  Cerved Earnings Release